TD Bank is the 8th largest bank in the country by assets despite mostly operating on the east coast. They have over 1,100 locations in 15 U.S. states plus Washington D.C. and are headquartered in Cherry Hill, New Jersey.

For savers interested in fixed-rate CDs (certificates of deposit), TD Bank offers some competitive yields, however, to earn their best APYs (annual percentage yields) you’ll also need to also have a qualifying checking account with them.

TD Bank has 3 different types to choose from. They are:

1. TD Choice Promotional CDs
2. TD No-Catch CDs
3. TD Step Rate CDs

All of TD Bank deposits are federally insured by the FDIC up to $250,000 per depositor. We will breakdown the APYs, terms, conditions and details of all of TD Bank’s CDs in our review below.

TD Choice Promotional CDs

Like all of TD Bank CDs, the TD Choice Promotional CDs feature a tiered interest rate and APY (annual percentage yield) based on your deposit amount, however, as of the time of this writing, all tiers pay the same rate. Earlier this year TD Bank was providing slightly higher yields for higher deposit sizes.

To get the best APY (their “Bump Rate”) you’ll need to also have a TD Bank checking account.

CD terms range from 3 months to 5 years and come with a minimum deposit requirement of $250.

Promotional CD Rates

TD Bank’s CD rates were surveyed on August 25, 2023.

To give these offers above some context, the current national average for a 12 month CD sits at 1.76% APY and the average yield on a 2 year CD sits at 1.50% APY according to FDIC data. However, top yields from online banks and credit unions with nationwide acceptance are now hovering around the 5.50% APY mark for both terms.

How do TD Bank’s CD Rates Compare?

To get a better idea of how TD Bank’s CD rates stack up against some of their competitors, take a look at the table below. It compares TD Bank’s best CD rate with some of the best CD rates offered by other well known banks.

How Much Can you Earn with a TD Bank CD?

How much you earn with a TD Bank CD is going to depend on your deposit size, the CD’s term, its APY (annual percentage yield) and whether or not you have an existing checking account with them. Take a look at the table below to see how much you’d make with each of TD Bank’s Choice Promotional CDs assuming a deposit size of $25,000 and a qualifying checking account.

If you do decide to open one of these, remember your money will be locked up for the duration of the deposit’s term. If you need access to your funds prior to maturity, an early withdrawal penalty will apply. If you foresee a chance that you will need these funds prior to maturity, you may want to open a No-Catch CD which allows for one penalty-free withdrawal per term.

Early Withdrawal Penalties

Withdrawing funds from your TD Choice Promotional CD prior to maturity will cost you some or all of your interest earned. Below is a breakdown of TD Bank’s early withdrawal penalties.

• For CDs with terms of 7 to 89 days, TD Bank will deduct all accrued interest.
• For CDs with terms of 90 days to one year, TD will deduct three months’ interest.
• For CDs with terms between 1 and 2 years, TD will deduct six months’ interest.
• For CDs with terms between 2 and 3 years, TD will deduct nine months’ interest.
• For CDs with terms between 3 and 4 years, TD will deduct twelve months’ interest.
• For CDs with terms between 4 and 5 years, TD will deduct eighteen months’ interest.

Compounding Interest

TD Bank does not state the compounding schedule on their website, however according to their CD rate calculator interest appears to be compounded monthly. Many banks, both online and brick and mortar, compound interest daily resulting in a higher annual percentage yield.

Grace Period

As with most banks and credit unions, TD Bank has a 10 calendar day grace period in which you can withdraw or add money to your CD penalty free. TD Bank will send you a notification prior to your deposit’s maturity, but you may want to have your own reminders set as well. If nothing is done during this grace period, your funds will roll into another CD of the same term and current APY.

TD Bank No-Catch CDs

TD Bank’s No Catch CDs currently come with only two deposit terms to choose from: 6 months and 12 months. Although these products have featured tiered APYs in the past based on deposit amount, they all feature the same lackluster yield currently.

The major difference with these accounts is that they allow for one penalty-free withdrawal per term.

No-Catch CD Rates

The minimum deposit requirement is $250.

Interest is compounded presumably monthly on these CDs as well and the same grace period applies. All of these CDs will automatically renew if nothing is done during the grace period.

TD Step Rate CDs

TD Bank’s Step Rate CDs function exactly as their name implies in that your interest rate takes a ‘step up’ on your anniversary each year. You have just two terms to choose from with these products: a 3 year term or a 5 year term.

As an added bonus, the Step Rate CD also comes with a similar feature as the “No-Catch CD.” Upon each yearly anniversary of your CD, you will be given a 10 calendar day window in which you can add or withdraw funds penalty-free. You may withdraw any amount at this time whether it be all of your funds or just a partial amount.

3 Year Step Rates

The composite APY is simply the blended APY you will have received at the maturity of your deposit term.

5 Year Step Rates

While the 5 year TD Step Rate CD features the highest yield of any TD Bank CD, it still lags the national average and considerably higher 5 year CD rates can be found with other banks and credit unions.

How to Open and Fund a TD Bank CD

Opening a new TD Bank CD is fairly straightforward and can be completed online in 5-10 minutes. You can also visit a branch or speak to a representative at 1-888-751-9000 to open a CD.

If proceeding with a TD Bank CD online, start here and select the CD you’d like to purchase.

In the very beginning of the application process you’ll be able to select a checking account to open along with the CD to earn the higher yield.

If you already have a checking account, you can log in to your online banking and fund your CD by transferring money from your TD checking account.

If you’re a new TD Bank customer, please be prepared with the following information to complete the CD application:

Personal Information:

• Full Name
• Verifiable Email
• Home Address
• Phone Number
• Social Security Number
• Driver’s License, State or Gov Issued ID
• Employment Status

When funding your CD, you’ll need the following information:

• Current bank or credit union routing number.
• Current bank account number where funds will be withdrawn from.

TD Bank CD FAQs

Still have questions about TD Bank’s CD rates? Take a look at what other consumers are asking around the web along with our responses below.

Are TD Bank CDs FDIC Insured?

Yes. TD Bank is member FDIC (certificate #33947) and all consumer deposits held at the institution are federally insured up to $250,000 per depositor.

What is the Minimum Deposit Required to Open a CD with TD Bank?

TD Bank’s minimum deposit requirement for CDs is $250. This applies to all of their CD accounts.

Does TD Bank Offer a Money Market Account?

No. At this time TD Bank does not offer personal money market accounts.

Does TD Bank Have a Savings Account?

Yes. TD Bank offers two types of variable-rate, personal savings accounts. These are:

• TD Simple Savings and
• TD Signature Savings.

TD Simple Savings provides a yield of just 0.02% APY on all balances and you must meet one of their monthly requirements to avoid a $5.00 monthly service fee.

TD Signature Savings provides a yield of anywhere between 0.01% and 4.00% APY depending on your average daily balance in the account and whether or not you also have a TD checking account. Sums of $100,000 or more are eligible to receive the 4.00% APY. You’ll also need to meet their monthly requirements to avoid a $15 monthly service fee.

What is TD Bank’s Routing Number?

TD Bank’s routing varies by region. See the table below to find the appropriate routing number for your location.